1. Profitability/Net Income Margins

What are the after-tax net income margins (i.e., net profit margins) for both companies?

How do they compare?

Who achieves the higher net income margin? Why?

2. Inventory Management

Who does a better job managing their inventory (Inventory Days on Hand ratio)?

What are their respective 3-year trends for Inventory DOH?

What options could the company consider to improve inventory management?

3. Cash Is King

How much net cash from operations did each company generate last year?

Which company has done a better job generating cash from operations?

In layman's terms, how is each company spending their cash with respect to reinvestments in

the business, changes in debt, and returning money to shareholders?

4. Liquidity

How do the companies compare in terms of the current ratio, and what are their respective 3-

year trends?

Do their current ratios indicate that either of these companies could go bankrupt soon?

Mohawk Dixie UNITS (eg Billions, Millions, Thousands - Please input) Millions Millions Total Revenue (or Sales) Cost of Goods Sold/Cost of Sales Total Selling, General & Administrative (SG&A) Total Interest Expense Gross Profit (Gross Income) Gross Margin Net Profit (Net Income) Net Margin SG&A as % of Sales Interest Expense as % of Sales Return on Sales (ROS) Return on Total Assets (ROA) Return on Equity (ROE) FY 2019 FY 2018 FY 2017 FY 2016 Comments 9,971 9,983 9491 8959 7.295 7,145 6495 6146 1,849 1,742 1642 1533 41 39 31 41 Interest, net 2,676 2,838 2996 2812 Rev-cos 2796 2896 3296 319 GP/Rev 744 862 972 930 796 996 1096 1096 NPIRev 1996 1796 1796 1796 SG&A Rev 096 096 096 096 Int Exp/Rev 796 996 1096 1096 NP/Rev 696 796 896 996 NP/Total Assets 996 1296 1496 1695 NP/Total Equity FY 2019 FY 2018 FY 2017 FY 2016 Comments 375 405 412 397 288 318 311 302 84 92 96 97 6 6 6 5 86 27 87 101 95 2396 2196 2596 2496 GP/Rev 15 -21 -10 -5 496 -596 -296 -196 NP/Rev 2296 2396 2396 2496 SG&AIRev 296 296 196 196 Int Exp/Rev 496 -596 -296 -196 NP/Rev 696 -896 -496 -296 NP/Total Assets 2196 -3696 -1396 -696 NP/Total Equity 769 37 96 140 248 51 82 174 19 46 114 164 283 Cash Accounts Receivable Inventory Total Current Assets Total Assets Total Current Liabilities Long Term Debt (including LT Cap Lease) Total Debt Retained Earnings Total Equity Current Ratio Quick Ratio Long Term Debt to Equity Total Debt to Equity Inventory Turnover (time per year) Inventory Days on Hand (in days) AR Turnover (times per year) Days Sales Outstanding (in days) 135 1,527 2,282 4,429 13,389 2,713 1,518 5,260 7,232 8,126 1.63 119 1,606 2,288 4,509 13,100 3,266 1,516 5,659 6,588 7,440 1.38 0.53 0.20 0.76 3.12 116.98 6.2 59 85 1558 1949 4073 12095 2655 1560 4998 6004 7067 1.53 0.62 0.22 0.71 3.58 101.86 6.5 56 122 1376 1676 3472 10231 2718 1129 4423 Total Liab 5033 5786 1.281 CAICI 0.55 (Cash Ar)/CL 0.20 LTD/Total Equity 0.76 Tot Debt/Tot Equity COS/avg Inv 365/Inv Turns Revenue/Avg AR 365/AR Turnover 18 43 105 153 253 56 120 194 -146 59 2.73 1.09 2.03 3.29 3.03 120.46 9.4 39 -131 73 2.75 15.80 1.12 2.38 3.00 121.67 10.1 36 0.61 0.19 0.65 140 44 97 145 269 64 98 LTD + Op Lease Liab 182 -116 Accumulated Defici 87 2.27 CAICL 2.88 (Cash - Ary/CL 1.13 LTD/Total Equity 2.09 Tot Debt/Tot Equity COS/avg Inv 365/Inv Turns Revenue Avg AR 365/AR Turnover 59 123 204 -125 79 2.78 1.10 1.56 2.58 2.95 123.82 9.2 40 3.20 114.06 6.5 56 1,419 -616 -790 -545 1,181 -1,332 198 -794 1194 -1241 -7 -906 1345 Source/(Use) -672 -641 -672 Payments for P&E -632 Proceede payments of LTD 12 33 -44 5 -2 -3 24 Source/(Use) -5 -19 -5 -18 Sum of all Payment/P -4 -4 Cash Flow From Operations Cash Flow from Investing Cash Flow from Financing Capital Expenditures Change in Long Term Debt (Proceeds - Payments) Dividends Purchase of Tresaury Stock Cash used in Acquisitions Free Cash Flow Free Cash Flow as % of Net Income 7 0 0 -10 -13 221 -13 24 0 0 0 0 -23 23096 0 0 -100 -81 874 0 -274 -569 387 4596 -58 0 -251 288 3096 0 -827 0 0 8 -5396 o Purch of Company Stk 0 673 CFFO. CapEx 7296 FCFINI 0 0 19 CFFO. CapEx -38096 FCFINI 1 -595 11796